Top 5 Things First Time House Buyers Should Consider

Navigating the housing market as a first-time buyer can feel both exhilarating and overwhelming. Accessing all the information you need before beginning the process is crucial. Buying a home isn't a simple and quick process, so it is important to understand what you’re getting into.

Being a first-time house buyer usually means you have no experience with the buying process. As a first-time buyer, it is important to spend time researching what the requirements are to purchase a property and what the process entails. The financial aspects of buying a home can be challenging, so it is important that you have enough money before you start to navigate the property market.

It is important to find out how much savings you need, how much you can borrow, and what the right mortgage is for you. Many buyers compare what properties are available within their budget to find suitable options.

Homes aren't cheap, so if you want to buy one, you need to have enough money saved. If you are buying your first home, we are here to help. Read on to find out what you should consider.

Buying Your First Home: What to Consider

Buying your first home is an outstanding achievement. Whether you’re young or old, being able to buy a home is something you should be proud of, no matter the time you decide to do so.

In most cases, couples purchase a home together. When couples join their savings together, it usually makes it easier for them to afford to put down a deposit. Most first-time buyers need the Conveyancing process to be explained by professionals working within the industry, such as mortgage advisors or conveyancers.

Having reliable guidance and support when buying your first home comes with plenty of benefits and makes the process streamlined and simple to understand. Let’s go through some top tips and considerations for first-time buyers.

Top up Your Deposit

Saving up for a deposit can be hard, especially if you have many bills to pay each month. It can be difficult not to dip into your savings when you really need them.

Reaching your end goal might feel like miles away, but if you’re squirrelling away every penny, you’ll get there in the end. Lifetime ISAs (Lifetime Individual Savings Accounts) are a great way to boost your savings to a larger sum.

Lifetime ISAs can help increase your initial savings by up to £1,000 per year. If you’re aged between 18 and 39, you’re eligible to open a Lifetime ISA. The money you save through a Lifetime ISA can contribute towards either purchasing a property, retirement, or both.

Any money you contribute will be matched by the government, which offers an extra 25%. This can go up to a maximum of £1,000 a year.

The funds in your Lifetime ISA can be used after the 12-month mark has passed, and then you’ll be able to put your savings towards your first home valued at around £450,000. Lifetime ISAs are different from Help-to-Buy ISAs, but you can have both. Always seek guidance from a financial adviser.

Make it a Priority to Improve Your Credit Score

Having a good credit score is key when it comes to buying your first property. Lenders look at your credit history when you apply for a mortgage; this way, they can see how you’ve previously managed to borrow money. Your credit history is typically what decides if they’ll offer you a mortgage.

There is a selection of credit reference agencies that can provide you with a clear statement of your credit report. Checking your credit history before applying for a mortgage is important and it gives you a chance to check whether it is correct.

Before applying for a mortgage, you can look at ways to improve your credit score overall. Simple yet effective ways to maintain an excellent credit score are by paying debt repayments on time, closing credit card accounts you no longer use, signing up for the electoral register, and paying off borrowed money in full each month.

Space

There’s plenty to consider when it comes to the space available within your new home, so make sure you research what space you have to work with and that you ask the necessary questions when you view a property.

If you have plans to extend your property or make changes to the interior, make sure it is possible before you decide to buy. Although having excess space isn’t a top priority for some first-time buyers, it’s important to make sure there’s enough space for all your belongings.

Government Schemes

The government provides a scheme for first-time buyers known as the Help-to-Buy scheme. Although some buyers don’t qualify for the scheme, there’s no harm in checking. There are a few parts to the scheme set up by the government. The first involves you putting a 5% deposit down and the government loaning you 20% interest-free for five years.

The second part of the Help-to-Buy scheme is shared ownership. This part of the scheme gives you a chance to purchase between 25% and 75% of a property, paying rent on the part of the home you don’t own.

Finances

Purchasing your first property is a big achievement, however, make sure you can afford it first, and that you have considered what you will need to buy and what bills you’ll need to pay to live in your new home.

Gas, electricity, water, broadband, insurance, and council tax are among the list of bills you’ll need to stay on top of; not to mention any extra costs you might have to cover if your property becomes damaged in any way.

How Bell Lamb & Joynson Can Help First-Time Buyers

Here at Bell Lamb & Joynson, we offer a wide array of expert services. Our team is available to help individuals from various walks of life. We help first-time home buyers who are looking for advice. Our friendly team build close relationships with clients, and they ensure their needs are always met.

Our conveyancing solicitors consist of a team of highly trained, reliable, and hard-working professionals who can talk you through the stages of buying a property. Our workload is back-to-back, and there’s nothing too challenging we can’t take on.

We specialise in various aspects of conveyancing and property transactions. For general advice and expertise, look no further than Bell Lamb & Joynson. We aim to reduce stress and make the process of buying your dream home as easy as it can be.

With our services available across the country, you can expect the highest level of care from your local Bell Lamb & Joynson team. To find out more about the services we provide, browse our website today. Alternatively, you can speak directly with a member of the team; feel free to email us at contatc@bljsolicitors.co.uk. We look forward to helping you move into your home.